Business Taxes Law Guide – Revision 2011

Oil Spill Response, Prevention, and Administration Fees Annotations

Bonded jet fuel received at a marine terminal and then used in international flights is not subject to the fees. The fuel enters the state under bond pursuant to federal law and regulation and it remains under bond in segregated storage until it is shipped by pipeline to an airport facility where it is used exclusively on international flights. The imposition of the fees on such fuel would conflict with the federal government's regulation of foreign commerce. 3/23/93.